Kinder Morgan Energy Partners LP has entered into a long-term agreement with CenterPoint Energy Resources Corp to provide the natural gas utility with firm transportation and storage services through its Texas intrastate pipeline system. Under terms of the agreement, CenterPoint has contracted for 1 billion cubic feet (Bcf) per day of transportation capacity and 16 Bcf of storage capacity, effective April 1, 2007.
KMP's Texas intrastate system consists of about 6,000 miles of pipelines with a peak transport and sales capacity of about 5 Bcf of natural gas per day. It owns or controls about 25 Bcf of working gas capacity at various storage facilities connected to the intrastate system, and owns the West Clear Lake natural gas storage facility, which has a capacity of roughly 100 Bcf.